With the tech giant rallying sharply Monday, tomorrow iPhone-maker Apple is anticipated to release its first 5G ready iPhone models. Despite the trend to however, there are some concerns as to whether consumers will actually be able to even take advantage of the revolutionary technology, and how it will effect 5G ETFs.
The benefit of the new iPhones is that they will be prepared to access high-speed networks from Verizon, AT&T and T-Mobile to achieve swifter download speeds and more robust wireless connections.
While the U.S. in largely still in a 5G transition, in other countries 5G networks utilized what’s called “mid band frequency,” to achieve speeds up to five times as fast as LTE, according to Opensignal. The mid band is one of the three types of 5G connections, including low and high band, each of which has its own advantages.
“In the U.S., when you see millimeter wave, and you see low-band, that isn’t 5G, that’s just two parts of 5G,” said Ian Fogg, VP of analysis at Opensignal. “5G will have mid band too. What we’re seeing in the US right now is version .9 or version 1.0, it’s going to improve a lot.”
Currently, AT&T and T-Mobile offer low band 5G in a number of regions and states. Meanwhile, T-Mobile is already advertising that it is available in all 50 states. Yet, for most consumers, the current low-band 5G that the company currently offers will not provide a dramatic spike in speeds in contrast to 4G connections.
“We’re really right at the start of the 5G era. We’re seeing different U.S. carriers lead with one part of the 5G service,” Fogg said.
Still, it is an exciting time for many investors and providers, and for those looking to take advantage of the 5G wave, ETFs like the Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF (NYSEArca: SRVR) or the Defiance 5G Next Gen Connectivity ETF (NYSEArca: FIVG) could offer opportunities for diversification in a portfolio.
For more market trends, visit ETF Trends.